The settlement of Iceland is generally believed to have begun in the second half of the ninth century when Norse settlers migrated across the North Atlantic. The Icelandic Age of Settlement is considered to have lasted from 874 to 930, at which point most of the island had been claimed.

​Because of its cargo capabilities and seaworthiness, the Hedeby 3 Knarr was the key factor in the Norse settlement of Iceland, and later the discovery and settlement of Greenland and North America by Norse explorers.

This type of a Knarr enabled the Norse settlers to transport a large number of people, livestock, and goods on one ship, or about 60 tons, in one journey. This was not possible with other types of Viking ships which were either much smaller or warships not made to carry so much cargo and people. 

It has been estimated that 15 - 20.000 Norse settlers migrated to Iceland in the first 60 years of the settlement and that all of them sailed to Iceland aboard a Knarr the same type as the Hedeby 3 Knarr.

​Erik Thorvaldsson (c. 950 – c. 1003), known as Erik the Red, was a Norse explorer, described in medieval and Icelandic saga sources as having founded the first European settlement in Greenland. According to Icelandic sagas, he was born in Norway, as the son of Thorvald Asvaldsson. 

Erik's son Leif Erikson became the first Viking to explore the land of Vinland–part of North America, probably near modern-day Newfoundland–and invited his father on the voyage. However, according to legend, Erik fell off his horse on the way to the ship and took this as a bad sign, leaving his son to continue without him. Erik later died in an epidemic that killed many of the colonists in the winter after his son's departure.

The replica will be built using clinker (lapstrake), which is the overlapping of planks riveted together. Remarkably large vessels can be constructed using traditional clinker construction.

The planks from which Viking vessels were constructed were rived (split) from large, old-growth trees—especially oaks. A ship's hull could be as thin as one inch (2.5 cm), as a split plank is stronger than a sawed plank found in a younger craft.

Working up from a stout oaken keel, the shipwrights would rivet the planks together using wrought iron rivets and roves. Ribs maintained the shape of the hull sides.

​Each tier of planks overlapped the one below, and waterproof caulking was used between planks to create a strong but supple hull.

The closest parallel example to the Hedeby 3 Knarr is the Skuldelev 1 shipwreck found in Denmark. The shipwreck discovered in Denmark is though considerably smaller. The replica is called Ottar and was built in the Danish Ship Museum in the year 2000:
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